Authentication is a process by which a person's identity may be verified. Authentication is useful when a person wishes to enter into a purchase or other contractual obligation, or in other situations where the true identity of the person is demanded. Authenticating a user of an electronic device is often not as reliable as having the user appear before an agent of a transacting company and present a photo identification and execute a handwritten signature. If such authentication were reliable, it may be useful for telephony devices, computers, and other electronic devices that can communicate on a network.
In some situations, a user may be present at a retail outlet to purchase a device, but authentication becomes more complex when a device is shipped to the user's home or place of business. In this situation, the device may be easily intercepted by a third party, and the service provider may not be able to verify the user's identity. In many cases, the user may have to call the service provider on a restricted-use mode, provide some authenticating information such as a credit card number, password, or other special information, and then full service may be initiated. Other methods of authentication may use an identification card that can be read by a card reader, or a mechanical key that engages a mechanical lock. Such procedures may still be easily compromised buy a malicious third party.
Authentication may occur when a device is first activated, or may also be used at the beginning of a communication session when a high level of security is required. For example, when a monetary transaction is performed over a communications network, the user's true identity is important to combat fraud. Authentication may be performed before such a transaction is finalized.